Which of the Following Statements Is True Regarding Goodwill

question 86

Multiple Choice

Which of the following statements is true regarding goodwill?

• A) For accounting purposes, goodwill may be amortized over a period not to exceed 40 years.
• B) For accounting purposes, goodwill may be amortized over a period not to exceed 20 years.
• C) For tax purposes, goodwill amortization cannot be deductible.
• D) For tax purposes, goodwill amortization may be deductible over a 20-year period.
• E) For tax purposes, goodwill amortization may be deductible over a 15-year period.